Long-term care insurance ratings information for consumers

Best Long-Term Care Insurance Companies - Their Ratings

The companies identified below are considered leading long-term care insurance companies in 2009 committed to the marketplace and providing long-term care protection on an individual or group (employer-sponsored) basis.

Find out what long-term care insurance costs.
Working with a knowledgeable long-term care insurance professional can get you the best coverage for the lowest cost. And, costs do vary from one company to another - based on your age and health.
The American Association for Long-Term Care Insurance does not sell long-term care insurance but our members are leading LTC insurance professionals throughout the nation. Fill in the simple information form click here: Free No-Obligation Long-Term Care Insurance Quote. We will forward your information. You are under no obligation. The information is free.
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A message from Jesse Slome, Executive Director of the American Association for Long-Term Care Insurance. When purchasing long-term care insurance protection, it is wise to make certain that the issuing company is both committed to the marketplace as well as financially sound. The A.M. Best Company, Standard & Poor's and Moody's Investors Services are well-regarded rating companies that provide objective measures of insurance companies' creditworthiness. Because these can change from time to time, we have also provided links below to help you check their individual websites for the most current updates. Ratings as of January 27, 2009.

Read What The Ratings Mean - Links To Rating Companies' Websites

The A.M. Best Company:

A.M. Best is one of the better known of the insurance rating companies. Here is an overview of what the A.M. Best rating system means.

A++ and A+ (Superior):

The company has demonstrated superior overall performance and has a very strong ability to meet its obligations to policyholders over a long period of time.

A and A- (Excellent):

The company has demonstrated excellent overall performance and has a strong ability to meet its obligations to policyholders over a long period of time.

B++ and B+ (Very Good):

The company has demonstrated very good overall performance and has a good ability to meet its obligations to policyholders over a long period of time.

B and B- (Adequate):

The company has an adequate overall performance and can meet its obligations to policyholders but may be vulnerable to unfavorable changes in underwriting or economic conditions.

C++ and C+ (Fair):

The company has demonstrated fair overall performance and can meet its current obligations to policyholders but is vulnerable to unfavorable changes in underwriting or economic conditions.

BC and C- (Marginal):

The company has demonstrated marginal overall performance. It can meet its current obligations to policyholders but is very vulnerable to unfavorable changes in underwriting or economic conditions.

D (Very Vulnerable):

The company has demonstrated poor overall performance. The company can meet its obligations to policyholders but is extremely vulnerable to unfavorable changes in underwriting or economic conditions.

E (Under State Supervision):

The company is under state insurance regulatory authority supervision, control or restraint, such as conservatorship or rehabilitation, but not including liquidation.

F (In Liquidation):

The company has been placed under an order of liquidation by a court of law, or its owners have voluntarily agreed to liquidate. Companies that voluntarily liquidate or dissolve their charters are generally not insolvent.

Financial security may be adequate, but capacity to meet policyholder obligations , particularly with respect to long-term or "long-tail" policies, is vulnerable to adverse economic and underwriting conditions.

B (Vulnerable):

Vulnerable financial security. Currently able to meet policyholder obligations, but capacity to meet policyholder obligations is particularly vulnerable to adverse economic and underwriting conditions.

Moody's:

Moody's ratings rates the financial strength of investment vehicles and institutions including insurance companies. Here is an overview of what the Moody's rating system means. 1, 2 or 3 modifiers for each rating category. A 1 indicates that the insurance company ranks in the higher end of its rating category. The modifier 3 indicates that the company ranks in the lower end of its category.

AAA (Exceptional):

Exceptional financial security. While the financial strength of these companies is likely to change, such changes as can be visualized are most unlikely to impair their fundamentally strong position.

AA (Excellent):

Excellent financial security, together with Aaa group, they constitute what are generally known as high-grade companies. They are rated lower than Aaa companies because their long-term risks appear somewhat larger.

A (Good):

Goodfinancial security. However, elements may be present that suggest a susecptibility to impairment sometime in their future.

BAA (Adequate):

Adequate financial security. However, certain protective elements may be lacking or may be characteristically unreliable over any great length of time.

BA (Questionable):

Questionable financial security. Often the ability of these companies to meet policyholder obligations may be very moderate and thereby not well safeguarded in the future.

B (Poor):

Poor financial security. Assurance of punctual payment of policyholder obligatiions over a long period of time is small.

CAA (Very Poor):

Very poor financial security. Company may be in default on their policyholder obligations or there may be present elements of danger with respect to punctual payment of policyholder obligations - claims.

CA (Extremely Poor):

Extremely poor financial security. Such companies are often in default on their policyholder obligations.

C (Lowest Rated Class):

The lowest rated class of insurance company. can be regarded as having extremely poor prospects of ever offering financial security.